Two-Story Coffee Shop
For Sale
$850,000
206 Mckinney Street, Farmersville, TX 75442
COMMERCIAL - Farmersville, TX
Property Size4,816 SF
Lot Size0.05 Acres
Price / SF$176.50
Days on Market20
Property Features for 206 Mckinney Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Commercial
Parking features
Assigned, On Street
Subdivision
Farmersville Orignial Donation
Lot features
Historic District
Directions
GPS
Standard status
Active
APN
R1045009028B1
Size
4,816 SF
Lot size
0.05 Acres
Utilities
Sewer type
Public Sewer
Heating system
Central, Electric (Heating)
Cooling system
Electric, Central Air, Ceiling Fan(s)
Water source
Public
Building Details
Year built
1895
Floors in Building
2
Number of units
2
Flooring type
Tile, Wood
Building materials
Brick, FiberCement
Roof type
Tar/Gravel
Listing Agency:
Keller Williams Prosper Celina · Keller Williams Realty
(972) 382-8882
Listed By:
Jane Mercer · License #0796238
(972) 382-8882
Added: Jul 20
Changed: Aug 4
Last Checked: Aug 8 at 2:06PM
MLS# 21331723
Copyright © 2026 North Texas Real Estate Information Systems, Inc. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
Two-story coffee shop building with historic character and a flexible second level. The first floor is occupied by Cup and Canter Coffee House. The second floor offers a versatile living or commercial space with a kitchenette, two bedrooms, a large great room, two full baths, abundant storage, and oversized windows overlooking the downtown streetscape.
Built in 1895, the property sits on a 0.0522-acre lot at 206 Mckinney Street in Farmersville, TX (Collin County). Construction materials include brick and fiber-cement, with tile and wood flooring. Heating is central with electric (heating), and cooling includes ceiling fan(s), central air, and electric. The roof is tar/gravel. Parking is available via on-street and assigned spaces.
Served by public water and public sewer, the building totals 4,816 SF and provides a strong combination of established ground-floor use and adaptable upper-floor space.
Built in 1895, the property sits on a 0.0522-acre lot at 206 Mckinney Street in Farmersville, TX (Collin County). Construction materials include brick and fiber-cement, with tile and wood flooring. Heating is central with electric (heating), and cooling includes ceiling fan(s), central air, and electric. The roof is tar/gravel. Parking is available via on-street and assigned spaces.
Served by public water and public sewer, the building totals 4,816 SF and provides a strong combination of established ground-floor use and adaptable upper-floor space.
Key Highlights
- Occupied first floor by Cup and Canter Coffee House
- Second floor includes kitchenette, two bedrooms, two full baths, great room
- Built in 1895 two‑story commercial building with brick and fiber‑cement
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$66,461
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
7.82%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$1,329,220
$1.3M
Cap Rate 7%
$949,443
$949.4K
Cap Rate 9%
$738,456
$738.5K
Market Conditions
NOI Build-Up for 4,816 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$115.6K $24.00/SF
− Vacancy
−$9.2K −$1.92/SF
EGI
$106.3K $22.08/SF
− OpEx
−$39.9K −$8.28/SF
NOI
$66.5K $13.80/SF
Area
Collin County, TX
Vacancy
8.00%
Lease Rate
$24.00 /SF/Yr
Expense Ratio
37.50%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$1,329,220
Cap Rate 7%
$949,443
Cap Rate 9%
$738,456
Alternative Uses
Best Use
Specialty Retail
$1.18M
$1.04M – $1.38M
NOI $82,940 @ 7.0% cap · market cap 9.76%
Second Best
Mixed Use
$949.4K
$830.8K – $1.11M
NOI $66,461 @ 7.0% cap · market cap 7.82%
Theoretical Best
Industrial
$4.79M
$4.19M – $5.58M
NOI $334,983 @ 7.0% cap · market cap 39.41%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
401
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 75442, TX
11,241
Population
4,060
Households
2.8
Avg Household Size
39
Median Age
18%
College-Educated
85%
High-School Grad
107.6 sq mi
ZIP Area
104
Density / Sq Mi
$84,591
Median Household Income
$48,482
Median Earnings
$1,501
Median Rent
$330,000
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Coffee shop - Historic two-story coffee shop building with public water and sewer, central heating and central air conditioning.
Where is this coffee shop located?
The property is located at 206 Mckinney Street Farmersville, TX.
What is the asking price?
The asking price for this property is $850,000.
What are key features of this property?
This property features: Occupied first floor by Cup and Canter Coffee House; Second floor includes kitchenette, two bedrooms, two full baths, great room; Built in 1895 two‑story commercial building with brick and fiber‑cement
